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A weekly compilation from Aetna of health care-related developments in Washington, D.C. and state legislatures across the country
Week of May 11, 2009
Insurance companies, doctors, hospitals and drug makers joined with President Obama Monday in announcing a new voluntary commitment to reduce the growth of national health care spending. The Administration released no details of the plan but indicated that it is expected to save a total of $2 trillion for the nation over 10 years. This unique agreement adds to the growing momentum for health care reform legislation this year. All indications point to a legislative proposal emerging this summer
Federal
During the Senate Finance Committee's second of three roundtable discussions on health care reform held last week, America's Health Insurance Plans represented the health insurance industry and advanced the insurance industry's commitment to reform and support for major changes in the individual market, including guaranteed issue, modified community rating and the elimination of pre-existing condition exclusions -- provided Congress passes an individual coverage requirement. Of particular interest to the media was the health insurance industry's offer to equalize individual premiums for men and women. The proposals demonstrate the readiness of the industry to play an important role in helping to achieve health care reform this year. Senator John Kerry (D-MA) introduced a bill last week to prohibit gender-based premiums in the individual market, which could make its way into a comprehensive health care reform package later this year.
Newly minted Health and Human Services Secretary Kathleen Sebelius appeared before the Ways & Means Committee last week to give the Administration's views on health care reform. Nothing new was revealed, and the Secretary continued the White House strategy of letting Congress shape reform legislation with the Administration providing input when asked. However, the Secretary did make it clear that the Administration supports a public plan option as a way to establish competition with the private sector. The public plan option was also much discussed by the Senate Finance Committee roundtable group, with supporters claiming it would set up an alternative choice for consumers that would help keep insurers "honest" and opponents claiming that the playing field could never be made level and would result in the health care industry's competitor being its regulator as well. Both sides were civil last week, but the issue has the potential to become bitterly disputed
The House Republican Task Force on Health, led by Congressman Blunt (R-MO), released its vision for health care reform with few surprises.The report embraces the Republican view of health care, which includes the availability of coverage to all (without a mandate), support for the employer-based system and rejection of the public plan option. There is a strong call for prevention, wellness and personal responsibility. The vision also calls for doctors, rather than government bureaucrats, to make treatment decisions. This is a veiled reference to the Republican concern that the comparative effectiveness research (CER) tool combined with health information technology mechanisms authorized in the stimulus law passed in February could result in rationing of health care based on what the computer models determine is the least expensive choice. Aetna supported the CER and HIT pieces of the stimulus plan and believes that the quality metric that emerges from CER will not be automatically swallowed by the cost component. However, cost effectiveness must be part of the big picture equation.
Week of May 11, 2009
Insurance companies, doctors, hospitals and drug makers joined with President Obama Monday in announcing a new voluntary commitment to reduce the growth of national health care spending. The Administration released no details of the plan but indicated that it is expected to save a total of $2 trillion for the nation over 10 years. This unique agreement adds to the growing momentum for health care reform legislation this year. All indications point to a legislative proposal emerging this summer
Federal
During the Senate Finance Committee's second of three roundtable discussions on health care reform held last week, America's Health Insurance Plans represented the health insurance industry and advanced the insurance industry's commitment to reform and support for major changes in the individual market, including guaranteed issue, modified community rating and the elimination of pre-existing condition exclusions -- provided Congress passes an individual coverage requirement. Of particular interest to the media was the health insurance industry's offer to equalize individual premiums for men and women. The proposals demonstrate the readiness of the industry to play an important role in helping to achieve health care reform this year. Senator John Kerry (D-MA) introduced a bill last week to prohibit gender-based premiums in the individual market, which could make its way into a comprehensive health care reform package later this year.
Newly minted Health and Human Services Secretary Kathleen Sebelius appeared before the Ways & Means Committee last week to give the Administration's views on health care reform. Nothing new was revealed, and the Secretary continued the White House strategy of letting Congress shape reform legislation with the Administration providing input when asked. However, the Secretary did make it clear that the Administration supports a public plan option as a way to establish competition with the private sector. The public plan option was also much discussed by the Senate Finance Committee roundtable group, with supporters claiming it would set up an alternative choice for consumers that would help keep insurers "honest" and opponents claiming that the playing field could never be made level and would result in the health care industry's competitor being its regulator as well. Both sides were civil last week, but the issue has the potential to become bitterly disputed
The House Republican Task Force on Health, led by Congressman Blunt (R-MO), released its vision for health care reform with few surprises.The report embraces the Republican view of health care, which includes the availability of coverage to all (without a mandate), support for the employer-based system and rejection of the public plan option. There is a strong call for prevention, wellness and personal responsibility. The vision also calls for doctors, rather than government bureaucrats, to make treatment decisions. This is a veiled reference to the Republican concern that the comparative effectiveness research (CER) tool combined with health information technology mechanisms authorized in the stimulus law passed in February could result in rationing of health care based on what the computer models determine is the least expensive choice. Aetna supported the CER and HIT pieces of the stimulus plan and believes that the quality metric that emerges from CER will not be automatically swallowed by the cost component. However, cost effectiveness must be part of the big picture equation.
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